Peak hotel season, especially for leisure properties, is a period of intense demand that, with the right actions, can deliver significant revenue growth. In a volatile market and under rising competition, hotels must prepare for these dates well in advance. Simply raising prices is not enough.
Effective profit optimization in hotels requires a comprehensive approach that includes pricing, guest segment management, distribution control, restrictions, and operational team readiness.
Aligning pricing policy with current market conditions
A pricing policy aimed at revenue and profit optimization should be planned based on real demand analysis, not only on competitor behavior. During high-demand periods, it is worth loading a higher-than-standard starting rate early and avoiding selling the first bookings too cheaply, which can reduce the final outcome.
For profit optimization, during “hot dates,” a hotel should act strategically: anticipate demand, react dynamically, and apply rates that reflect the true value of the period.
Using segmentation to maximize profitability
Guest segmentation enables the hotel to identify the most profitable guest groups and consciously limit those that generate lower revenue, especially when occupancy is high. In practice, this often means reducing or eliminating low agency rates, special offers, and overly promotional pricing.
Strategic segment management helps prevent rate cannibalization and ensures the hotel captures the full potential of high-demand periods.
Controlling distribution channels during high occupancy periods
For strong dates, it is recommended to limit commission-based channels (OTAs) in favor of direct bookings. The hotel can maintain visibility on OTAs due to the billboard effect, but should actively manage rates and availability, while blocking promotions and discount programs.
Effective distribution control increases the share of direct sales and reduces commission costs, both of which directly improve profitability and support profit optimization in hotels.
Applying restrictions matched to the date
For multi-day events or high-demand weekends, hotels should implement minimum length of stay restrictions (minimum stay). During strong periods, it is also recommended to prioritize non-refundable (NON-REF) rates to reduce cancellation risk and revenue loss.
Adjusting booking conditions helps maintain control over availability and improves revenue stability.
Preparing reservations and service teams for peak traffic
A surge in booking volume requires proper staff preparation, especially for phone reservations, which remain one of the lowest-cost booking channels. Hotels should plan both adequate staffing levels and ensure the team has strong negotiation skills and deep knowledge of the pricing policy.
A reservations team that can handle inquiries efficiently has a direct impact on conversion and revenue performance. Personalized guest communication (made possible through direct contact with a competent hotel employee) can also increase revenue through upselling and cross-selling while reducing commission expenses.
Ensuring consistent internal communication
When selling strategic high-demand dates, every department in the hotel should understand the rules regarding accepted segments, available rates, minimum stay requirements, vouchers, and complimentary bookings. Clear guidelines prevent unintentional operational mistakes.
Strong internal communication supports the revenue strategy and protects revenue during peak periods.
Post-peak performance analysis
After each strategic period, the hotel should run a detailed performance review, including segmentation, ADR, length of stay, and cancellation levels, then compare results with similar historical periods. Identifying the drivers behind performance enables learning and improved execution for future high-demand dates.
Regular post-event analysis builds a knowledge advantage and improves the effectiveness of future strategies.
Using RMS tools in the optimization process
Modern revenue management systems (RMS) such as proRMS use historical data, market monitoring, demand forecasting, and reputation analysis to generate pricing recommendations. With machine learning, the system can automatically adjust sales strategy for different price groups.
Revenue optimization increasingly depends on working with the right tools. RMS implementation significantly improves precision and helps prevent errors driven by subjective decision-making.
Increasing revenue and profits with proRMS
W warunkach dynamicznego rynku skuteczność decyzji revenue managera zależy od dostępu do aIn a dynamic market, a revenue manager’s effectiveness depends on access to current data, speed of response, and the ability to anticipate demand behavior. proRMS supports profit optimization process by automating data analysis and delivering pricing recommendations based on the real-time market potential.
As a result, the hotel can make decisions that are more precise, faster, and more consistent with its revenue strategy: strengthening profit optimization in hotels both during peak dates and in low-demand periods.
proRMS analyzes, among others:
- historical data and booking trends,
- demand forecasts and the impact of external factors (e.g., seasonality, events),
- competitor behavior and pricing levels,
- segment performance and behavior.
The system uses predictive algorithms to recommend pricing, restrictions, and segment availability. The user can implement recommendations with one click, and once trust in the system is established, enable automated management mode.
Implementing proRMS is a step toward modern, automated revenue management that helps hotels react quickly to market changes and fully leverage business potential in both high-demand and low-demand periods.
Summary
Hotel profit optimization during peak dates is a process that requires preparation, analytical thinking, and full coordination of operational execution. Effective management of pricing, segments, distribution channels, restrictions, and teams helps maximize profit and shape revenue strategy with intent.
Hotels that combine historical data with analysis of current demand and use RMS tools can not only fully leverage peak periods but also build a competitive advantage in a rapidly changing market.
When should you start optimizing popular dates?
The process should start well in advance, ideally 3–6 months before the target period. The biggest mistakes happen when strategies are implemented only after demand has already surged.
Which actions are key to protecting high-value dates?
The most important actions include: setting the right starting rates, limiting low-margin segments, controlling distribution channels, applying length-of-stay restrictions, monitoring competitors, and properly preparing the reservations team.
How can you limit undesired segments during strong demand?
During strong dates, hotels should avoid low-profit segments such as promotional rates, high-commission OTAs, low corporate rates, and discount offers. High-value periods should be reserved for segments with the strongest revenue potential.
Should you fully close OTA channels?
Not always. Instead of a full closure, it can be more effective to control room availability, raise OTA rates, and limit discount programs. For the most important dates, direct sales and minimum stay restrictions are typically the best approach.
How do you prepare the reservations team for peak dates?
The team should receive clear instructions on pricing policy, negotiation boundaries, and accepted segments for the period. Increased phone coverage should also be planned, because limiting OTAs typically increases direct inquiry volume.
How do you evaluate strategy effectiveness after the period ends?
Analyze results by segment, channel, length of stay, and ADR. If bookings were accepted below market potential or through undesired channels, investigate the reasons and implement adjustments for the future.
Michał Forysiak
CEOOd 15 lat związany ściśle z szeroko pojętą analityką w hotelarstwie, łącząc ją cały czas z obowiązkami operacyjnymi. Dzięki temu oprócz optymalizacji przychodowej skutecznie optymalizował koszty. Nagrodzony przez środowisko branżowe tytułem Revenue Managera Roku 2016 przyznanym przez organizację Horwath i czasopismo „Hotelarz”.
